Dive Brief:
- Final numbers for last year's construction spending should show a 5% growth over 2012, but it all comes from residential building, Gilbane Construction Co. says.
- The company, which regularly reports on the industry's economic landscape, also says it foresees contractors being able to raise margins on projects.
- However, tighter labor markets with shortages and reduced productivity are probably coming with more even growth in the industry — not counting the dismal nonresidential infrastructure sector.
Dive Insight:
Gilbane's report is not all happiness and light, but the company does see growth being more evenly distributed than it was last year. Notable for its glum outlook is nonresidential infrastructure, where the company thinks spending will go down as much as 10% this year.